MTN Nigeria says tower contract award to ATC is final

MTN Nigeria has said there is no reversing the award of the 2500 tower sites contract to ATC, which emerged winner of a competitive bidding.

This is contrary to media reports saying that the largest mobile network operator in the country is rethinking the decision following an alleged improved offer from IHS Towers.

Read also: MTN to award more towers to ATC as it reviews IHS contracts

The telco said in a statement on Tuesday that the reports are not only untrue, it has not received any revised offer from IHS. The company announced the award of the 2500 sites to ATC in September after the tower company outbid competitors to clinch the contract which is expected to expire in 2024 and 2025.

“The agreement with ATC over the 2,500 sites is final, having gone through a rigorous process involving our highest governance approvals,” said Tobechukwu okigbo, Chief Corporate Services, MTN Nigeria. “Our preference is always for bilateral renewal, subject to competitive pricing and terms. In this instance the ATC proposal was superior.”

MTN plans to continue to engage with IHS Towers on further opportunities that arise, including the renewal of the next vintages of towers that come up for renewals in 2025. However, there will also be participation from other parties.

Read also: IHS loses lucrative MTN towers business in Nigeria

Contrary to concerns that awarding the contract to ATC will lead to disruptions and a possible negative environmental impact, Okigbo said such concerns are “factually incorrect, and misleading” as tower transfers between two infrastructure companies do not necessarily lead to network disruption. MTN Nigeria is expectant that the transition will be smooth.

“Through our partnership with ATC, we are setting the stage for a new era of connectivity in Nigeria, one that not only meets the growing demands of our customers but also aligns with our focus on expense efficiencies, commitment to sustainability and environmental responsibility,” said Okigbo.

The telco is also expecting ATC to adhere strictly to NCC guidelines and NESREA regulations on deploying telecoms sites.

Read also: Blackwells joins MTN, others to pressure IHS for reform

“We are deeply committed to achieving net-zero emissions and part of the differentiated value ATC provides is a commitment to operating green sites, ensuring significant reduction in carbon emissions. Contrary to the allegations of harmful environmental impact, the partnership with ATC will reduce greenhouse gases,” Okigbo said.